Mitre Tavern sells for $6.25 million to private investor

A private investor has snapped up the distinctive Mitre Tavern in the Melbourne CBD for $6.25 million.

The thriving English-style pub with a Queen Anne feel dating back to its 1910s makeover was passed in at auction last week for $6.05 million.

It had pre-auction hopes of $6.5 million, with selling agents Kristian Peatling and Warwick Bramich saying its current net annual income is $430,000 plus GST.

The August 10 auction drew a large crowd – many from the property industry – but received just two bids

The highest bidder had first right to negotiate with the vendor to purchase the tavern.

The selling agents have not disclosed the identity of the buyer.

Set on Bank Place, between Collins and Little Collins streets, the pub last traded at $6.3 million in 2008 when bought by TOORAK investor Ian Hicks from the hotelier Robertson family. There was a $4.6 million transfer in 2006 and a $5.75 million transfer in 2004.

Classified as being of historical and social significance to Victoria, the Mitre claims to hold one of the oldest continuous pub licences, granted in 1868 when a two-storey private dwelling was converted to a drinking house.

The bluestone coaching house Mac's Hotel in Franklin Street has been operating since 1853.

It's being offered with a long-term lease.